Trump's Election Raises Concerns for Clean Energy

Donald Trump's recent election victory raises significant concerns about the future of U.S. climate policy, with expectations of a shift back to fossil fuels that could undermine recent advancements in clean energy. Investors have reacted by shifting assets away from renewable energy stocks towards oil and gas, anticipating Trump's plans to repeal key climate legislation that allocated hundreds of billions for clean energy. Despite fears of reduced investment in renewables, some analysts believe Australia may still benefit from its critical mineral resources as a trusted ally, potentially incentivized by U.S. demand under a Trump administration. Moreover, Trump’s skepticism of climate science, coupled with his commitment to dismantling existing climate frameworks, suggests a regression in climate cooperation between the U.S. and Australia, particularly concerning the Climate, Critical Minerals, and Clean Energy Transformation Compact. Experts warn that Trump’s policies could lead to increased greenhouse gas emissions and energy costs. The overall sentiment is one of cautious optimism among some investors, who believe that clean energy momentum may persist despite the political landscape.